Gold limit in India as per income tax rules: Do you know how much gold you can keep at home, because the government has also set a limit for this and there are different tax rules for keeping gold at home? Let us tell you that the government has made some rules for how much amount of gold or gold jewelry can be kept at home, which is necessary for everyone to follow.
Gold is evergreen, so everyone wants to keep it with them. In the form of jewelry, coins or biscuits. Now the trend of digital gold and gold bonds is also increasing. People in India like to keep gold in their homes. But do you know how much gold you can keep at home, because the government has also set a limit for this and there are different tax rules for keeping gold at home.
The government has made some rules for how much gold or gold jewelry can be kept at home (Gold limit in India as per income tax rules) which is necessary for everyone to follow. But most people do not know that there is a prescribed amount of gold to be kept at home. So let us tell you.
Experts say that while buying gold or its jewelry, always keep in mind that its bill has to be taken and that bill should always be kept safely. A circular of the Central Board of Direct Taxes says that there is no limit on keeping gold jewelry, but you will also have to tell its source. Because if there is any tampering or error in the proof, your gold can be confiscated.
CBDT rules regarding gold
CBDT has some rules regarding who can keep how much gold in the country. According to this, you can keep gold even above this limit, but you should have an answer as to where you got this gold from. The rules also say that during a search operation, officers cannot seize gold ornaments or jewellery found in a house, provided their quantity is less than the prescribed limit, or there should be a correct source.
Who can keep how much gold
- A married woman can keep up to 500 grams of gold with her.
- An unmarried woman can keep up to 250 grams of gold with her.
- A man can keep up to 100 grams of gold with him.
Tax rules for gold
If you have bought gold from your income which you have disclosed, or you have bought gold from money earned from farming, then it will not be taxed. Apart from this, if you have bought gold by saving from your household expenses or you have inherited gold, then you will not have to pay tax on it either. However, the source of gold should also be known. But you have to pay tax on selling the stored gold. If you sell gold after keeping it for three years, then you will have to pay long term capital gain tax at the rate of 20% on the income from this sale. If you sell gold within three years of buying it, then the income from it will be added to your total income, and it will be taxed according to the tax slab you fall in as a taxpayer.
